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FALL 2020] D.B. PROMPTS Week # 5 Facebook owns and operates Instagram. Instagram includes a feature called Stories. Instagram Stories offer a user the ability
FALL 2020] D.B. PROMPTS Week # 5 Facebook owns and operates Instagram. Instagram includes a feature called Stories. Instagram Stories offer a user the ability to post collections of im- ages and videos that are available to the user's followers for a 24-hour period. During the relevant period, in its Instagram FAQ, Facebook wrote: Q: Can someone view a story after 24 hours have elapsed? A: No. Stories disappear after 24 hours. Elsewhere, Facebook marketed the Stories feature as "allow[ing] you to share ephemeral content, which is available for only 24 hours." An FTC investigation reveals that: (1) there are many ways that other users can save or otherwise retain Stories content, including by using the iPhone's screen recording feature or third-party software designed to record and save Stories content; and (2) Facebook retains all Stories content and data for its own purposes indefinitely. The FTC brings an enforcement action against Facebook, alleging that In- stagram Stories are both a deceptive and an unfair trade practice. The FTC proposes a remedy that mandates a pop-up dialog box whenever a user opens the Stories feature. The text in the dialog box reads: "Contrary to pre- vious representations, Stories content is easily saved by other users and Facebook retains all Stories content indefinitely." Before users can proceed to use the Stories feature, they must press an "I understand" button under- neath the dialog box. The FTC proposes that the dialog box be displayed every time a user opens the Stories feature for the next five years. Facebook advances three arguments in the litigation: (1) Facebook didn't engage in a deceptive trade practice; (2) Facebook didn't engaged in an un- fair trade practice; and (3) the proposed remedy violates the FTC's correct tive advertising standard. You're the district court judge hearing this case. How do you rule on one or8 UNFAIR BUSINESS PRACTICES [LAW 303 more of Facebook's arguments? Explain your reasoning. If you need more information, say so and explain how that information would influence your analysis. #
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